Purchasing Managers Index shows sharp increase in new orders

The Southeast Michigan economy continues to strengthen at a modest pace according to the April Southeast Michigan Purchasing Managers Index (PMI). The April index value is 55.3-- a slight decline from the March index of 55.7. Southeast Michigan PMI values have maintained a value above 50 for 37 of the past 38 months, indicating a steadily expanding economy. A PMI value above 50 generally suggests economic growth.

"Our research is showing three years of stability in the Southeast Michigan economy," said Timothy Butler, associate professor of supply chain management at Wayne State's business school. "This is a very encouraging sign." Butler said that a sharp increase in new orders, from 55.9 to 60.6, the Employment Index of 59.4 and the Vendor Deliveries Index of 54.5 contributed to the favorable reading this month.